Emerging Pharmaceutical Market in Brazil - Regulatory Framework Forces MNCs to Partner with Local Players Resulting in Profit and Control Sharing

Summary

GBI Research's new report, "Emerging Pharmaceutical Market in Brazil - Regulatory Framework Forces MNCs to Partner with Local Players Resulting in Profit and Control Sharing" provides an in-depth analysis of the trends, issues and challenges in the pharmaceutical market in Brazil. The report analyzes the overall pharmaceutical and outsourcing market structure of the country. The report provides competitive benchmarking for the leading companies and analyzes the M&A and strategic partnerships that shape the Brazilian pharmaceutical market. The report is built using data and information sourced from proprietary databases, primary and secondary research and in-house analysis by GBI Research's team of industry experts.

The Brazilian pharmaceutical market is one of the top emerging markets globally. In terms of revenue it is the seventh largest market in the world and the largest in Latin America. Since the introduction of the new Patent Law in 1997, many foreign pharmaceutical companies have entered the Brazilian market. However, due to the lack of government support in the country, these companies (MNCs) have mostly partnered with local players for the expansion of their services.

GBI Research analysis shows that generics have achieved higher growth in the market due to legal and regulatory support. The generics accounted for 20.6% of the market share in 2011 and are expected to grow in future. Both private and public sectors are playing a role in the healthcare infrastructure of the country. The availability of reasonably priced raw materials and good access to the patient pool, well-equipped facilities, high-quality staff and infrastructure are the major attractions for foreign players.

The Brazilian pharmaceutical market grew at a CAGR (Compound Annual Growth Rate) of 9% between 2004 and 2010. The economic growth of the country was above the world average and inflation was low compared to Argentina and Paraguay. In accordance with the Brazilian Ministry of Health, the private healthcare sector contributes approximately 2% of Brazil's GDP.

According to GBI Research's analysis, the Brazilian pharmaceutical market poses a number of challenges due to its diverse nature, which creates difficulties in terms of understanding the characteristics of sub-regions. The major challenge for foreign players planning to enter the market is the legal framework of the country. This forces the companies into partnering with local companies, resulting in profit and control sharing. The legal and regulatory framework for patents is limited, leading to a lack of protection for intellectual property rights. This tends to result in difficulties for companies spending on R&D.

Scope

The overall pharmaceutical, biotech and outsourcing market structure in Brazil

A market characterization of the Brazilian pharmaceutical market, including market size, major regulatory bodies, pricing and reimbursement issues, major distribution channels and intellectual property rights.

Brazilian CRO market growth

Analysis of the leading segments within the Brazilian pharmaceutical industry

Market drivers and restraints that have a significant impact on the market.

Competitive benchmarking of the leading companies in the pharmaceutical and CRO markets.

Key M&A activities and strategic partnership deals that have taken place between 2004 and mid-2011.

Reasons to buy

Develop market-entry and market expansion strategies by identifying the leading emerging markets poised for strong growth.

Develop a tailored country strategy through the understanding of key drivers and barriers of each country's pharmaceutical market.

Develop key strategic initiatives by understanding the key focus areas of leading companies.

Accelerate and strengthen your market position by identifying key companies for mergers, acquisitions and strategic partnerships.